Trustees of the Suburban Teamsters of Northern Illinois Pension Fund v. The E Company

Dist. Ct. did not err in entering judgment in favor of plaintiff-pension fund in ERISA action seeking payment of withdrawal liability from defendants-defunct employer and others. Record showed that: (1) employer ceased operations and cut-off its pension contributions, which prompted plaintiff to assess withdrawal liability of $640,900; and (2) certain defendants ignored notices of withdrawal liability that had been issued by plaintiff and failed to arbitrate any defense to plaintiff being able to collect said withdrawal liability, which, in turn, precluded said defendants from raising any defense in plaintiff’s action to collect withdrawal liability in Dist. Ct. Moreover, with respect to other defendants which had not been served with said notices, record contained factual basis to support finding that said defendants could not assert credible claim of surprise with respect to said withdrawal liability so as to excuse ERISA’s arbitration requirement, and that each defendant was trade or business under common control with another party, which had received notice of withdrawal liability.